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Well, one major difference is that IFRS's do not allow the use of LIFO for accounting for inventory. Many US companies use the LIFO method as a way to lower corporate taxes.
The way to adjust inventory is different as well. In US GAAP the the revaluation amount is calculated by using the ceiling, floor and replacment cost. In IFRS the net present value is used and is calculated by subtracting the amount of selling costs from the selling price.
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Is accrual accounting GAAP or IFRS?
IFRS
How many international accounting standards are there?
Typically, every country can have their own set of accounting standards used for private enterprises. However, the three major accounting standards recognized globally are US GAAP, Canadian GAAP (although Canada is switching to IFRS effective January 1st, 2011), and IFRS (which is used by most countries in the world now, excluding USA, which uses US GAAP). *GAAP = Generally Accepted Accounting Principles **IFRS = International Financial Reporting Standards
Should deprciation should be charged on idle assets?
Under all of US GAAP, CDN GAAP and IFRS, idle assets should continue to be depreciated.
How many multinationals use us gaap?
The exact number keeps changing but i can tell you that the IFRS and IAS are made so as to be in line with US GAAP. So, any country following them will definitely be in line with US GAAP.
Does a nonprofit have to follow GAAP?
Yes. IN the US non profits are expected to follow GAAP accounting rules. In Europe and expanding to most other parts of the developed world, companies are using IFRS.
Is accrual accounting GAAP or IFRS?
IFRS
What is the difference between GAAP costing and IFRS costing?
There are several costing items that has change in the adoption of IFRS, for in GAAP the stock valuation or material pricing adopted is LIFO and FIFO but in IFRS only FIFO is adopted etc
How many international accounting standards are there?
Typically, every country can have their own set of accounting standards used for private enterprises. However, the three major accounting standards recognized globally are US GAAP, Canadian GAAP (although Canada is switching to IFRS effective January 1st, 2011), and IFRS (which is used by most countries in the world now, excluding USA, which uses US GAAP). *GAAP = Generally Accepted Accounting Principles **IFRS = International Financial Reporting Standards
Should deprciation should be charged on idle assets?
Under all of US GAAP, CDN GAAP and IFRS, idle assets should continue to be depreciated.
How many multinationals use us gaap?
The exact number keeps changing but i can tell you that the IFRS and IAS are made so as to be in line with US GAAP. So, any country following them will definitely be in line with US GAAP.
What is the XBRL term for sales and for gross profit?
It depends which GAAP you are referring to. The answer would be different for US GAAP, Canadian GAAP or IFRS. If you mean US GAAP, you can look it up at http://xbrl.us/Pages/US-GAAP.aspx - the answer(s) would probably be SalesRevenueNet and GrossProfit, respectively.
Treatment of other-than-temporary impairment for equity investment versus equity securities?
It depends whether IFRS or GAAP
Does a nonprofit have to follow GAAP?
Yes. IN the US non profits are expected to follow GAAP accounting rules. In Europe and expanding to most other parts of the developed world, companies are using IFRS.
What are the differences of commercial accounting and GAAP?
commercial accounting is good and GAAP stands for "gay and am proud", so i would be careful if your going to join
How to amortize an indefinite life intangible asset?
Answer:Under US GAAP as well as IFRS, intangible assets with an indefinite life (for example brand names) are not amortized, but instead, an annual impairment test is performed.
Barriers to successful harmonisation of accouting standards?
I believe this question is phrased incorrectly. "International Accounting Standards" means the same thing as IFRS. IFRS stands for "International Financial Reporting Standards". I suspect the question should actually read 'what is the difference between IFRS and US GAAP? I have some knowledge regarding this question as well but this is by no means a complete response. The piece I know about applies to the treatment of R&D expenses. Under US GAAP, almost all of a company's R&D expense are treated as cash outflow (expenses) and affect the income statement in the period in which they occur. There is no effect to asset levels on the balance sheet. Under IFRS, a large portion of a company's R&D expenses must be capitalized and then depreciated/amortized over some period. The treatment is more like that of capital investment spending and creates assets on the balance sheet that then carry a book value as they are depreciated over time.
What is recognition?
Revenue recognition is an accounting principle that prescribes when companies need to recognize revenue. Under US GAAP as well as IFRS companies need to recognize revenue when they have delivered the goods/rendered the services and payment is reasonably certain.
